Formerfedsgroup.Com

09/03/2025

09/03/2025

08/01/2025

🚨 DOJ Ramps Up Whistleblower Incentives and Clarifies Corporate Enforcement Benefits 🚨

The U.S. Department of Justice is intensifying its fight against corporate misconduct with new whistleblower rewards programs in the Antitrust and Criminal Divisions, plus revisions to the Corporate Enforcement and Voluntary Self-Disclosure Policy (CEP).

Key highlights:

• Criminal Division’s Expanded Pilot: Rewards for tips on priority areas like cartel/TCO violations, immigration fraud, terrorism support, sanctions, trade fraud, and procurement fraud—leading to forfeitures over $1M.

• Antitrust Division’s New Program: 15-30% rewards for original info on antitrust crimes resulting in $1M+ recoveries, in partnership with USPS.

• Revised CEP: Guarantees declinations for qualifying self-disclosures without aggravating factors; potential declinations even with aggravators; benefits like NPAs and fine reductions for good-faith reports; shorter resolution terms (≤3 years).

As Criminal Division head Matthew Galeotti emphasized: “Never before have the benefits of self-reporting and cooperating been so clear… You have the opportunity to see something, report something, and make sure your company can work with the Department to root out individual misconduct.”

For compliance pros: This underscores the value of robust internal reporting channels and proactive self-disclosure to mitigate risks and secure leniency.

Read the full analysis here: https://www.jdsupra.com/legalnews/analyzing-the-u-s-department-of-justice-6781123/

The Department of Justice (DOJ) in recent weeks unveiled a newly created whistleblower rewards program within its Antitrust Division and an expanded...

08/01/2025

🚨 Strengthening Government Oversight: SBA Takes a Stand Against Fraud in Federal Contracting 🚨

In a clear signal that the current administration is prioritizing the fight against fraud, waste, and abuse, SBA Administrator Kelly Loeffler has issued a formal letter of warning to federal contracting officers. This move urges them to report suspected misconduct, reinforcing accountability in the 8(a) Business Development Program following a DOJ investigation that uncovered over $550 million in fraudulently awarded contracts.

As Loeffler stated: “Our 8(a) contracting officers have a legal responsibility to uphold the law and protect taxpayer dollars… Today, we’re putting them on notice – that we will no longer tolerate the self-dealing and fraud that was allowed to proliferate under the Biden Administration.”
This initiative, coupled with an ordered full-scale audit of high-dollar contracts over the past 15 years, exemplifies how government agencies are ramping up procedures and enforcement to safeguard taxpayer funds and ensure merit-based awards. It’s a welcome step toward greater transparency and integrity in federal procurement.

A timely reminder for contractors and agencies alike: Compliance and ethical practices are non-negotiable in today’s landscape.
Read more in the full article here: https://executivegov.com/articles/sba-8a-business-development-kelly-loeffler-contracts-fraud

The letter of warning reminded contracting officers of their responsibility to uphold the law and protect taxpayer dollars.

08/01/2025

🚨 Breaking News in Genomics and Cybersecurity Compliance 🚨

Illumina Inc., a leading genomics company, has agreed to pay $9.8 million to settle allegations under the False Claims Act for selling genomic sequencing systems with cybersecurity vulnerabilities to federal agencies between 2016 and 2023. The U.S. government contended that Illumina failed to integrate proper cybersecurity in software design, lacked adequate security programs, and misrepresented adherence to standards like those from ISO and NIST—potentially risking sensitive genetic data.
This case originated from a whistleblower lawsuit filed by former Illumina Director Erica Lenore, who will receive $1.9 million as her share. It underscores the severe consequences of neglecting cybersecurity in critical tech sold to the government.

As Assistant Attorney General Brett A. Shumate stated: “Companies that sell products to the federal government will be held accountable for failing to adhere to cybersecurity standards and protecting against cybersecurity risks. This settlement underscores the importance of cybersecurity in handling genetic information.”

A vital reminder for biotech, healthcare, and defense sectors: Prioritizing robust cybersecurity isn’t just best practice—it’s essential for compliance, protecting sensitive data, and avoiding hefty penalties.

Read the full DOJ press release here: https://www.justice.gov/opa/pr/illumina-inc-pay-98m-resolve-false-claims-act-allegations-arising-cybersecurity

Illumina Inc. has agreed to pay $9.8 million to resolve allegations that it violated the False Claims Act when it sold to federal agencies certain genomic sequencing systems with cybersecurity vulnerabilities. Illumina is a Delaware corporation, headquartered in California, that manufactured and sol...

08/01/2025

🚨 Breaking News in Defense Contracting and Cybersecurity Compliance 🚨

California-based defense contractor Aero Turbine Inc. and private equity firm Gallant Capital Partners LLC have agreed to a $1.75 million settlement to resolve allegations under the False Claims Act. The case stems from failures to meet cybersecurity requirements in a U.S. Air Force contract, including non-compliance with NIST SP 800-171 standards and unauthorized sharing of sensitive defense information with a foreign software company.

🚨Key takeaway: The DOJ praised the companies for their voluntary self-disclosure🚨, full cooperation, and prompt remedial actions, which helped mitigate penalties. This highlights the critical role of proactive compliance and transparency in protecting national security.
As Assistant Attorney General Brett A. Shumate noted: “When defense contractors fail to comply with cybersecurity requirements, they can mitigate the consequences by making timely self-disclosures, cooperating with investigations, and taking prompt remedial measures.”
A reminder for all in the defense and tech sectors: Robust cybersecurity isn’t optional—it’s essential to safeguarding sensitive data and maintaining trust in government partnerships.
Read the full DOJ press release here: https://www.justice.gov/opa/pr/california-defense-contractor-and-private-equity-firm-agree-pay-175m-resolve-false-claims

Defense contractor Aero Turbine Inc., of Stockton, California, and private equity company Gallant Capital Partners LLC, of Los Angeles, have agreed to pay $1.75 million to resolve their liability under the False Claims Act for knowingly failing to comply with cybersecurity requirements in an Aero Tu...

07/30/2025

Certain Vanderbilt employees with insider knowledge of or ties to gov funding processes may qualify as whistleblowers, potentially eligible for significant qui tam recoveries due to such misconduct. Vanderbilt University

07/29/2025

Excited to share a significant update in our ongoing fight for justice on behalf of thousands of Himalaya Exchange (HEX) members—many of whom are brave Chinese dissidents fleeing persecution by the Chinese Communist Party (CCP). Today, we filed a Notice of Supplemental Authority in the U.S. District Court for the Southern District of New York (SDNY) in the case involving Ho Wan Kwok (Miles Guo) and the seizure of HEX stablecoin assets.

This representation is one of the most challenging I've undertaken: advocating for a persecuted minority whose investments—held in trust via a BVI-based stablecoin exchange—were seized by the U.S. government without jurisdiction. The government has sought penalties, forfeiture, and even proposed throwing these funds into a pool with other "victims," despite HEX's assets being intact dollar-for-dollar. Our clients, who explicitly avoided U.S. jurisdiction per HEX's policies, now face doxxing risks in forfeiture proceedings, exposing them to CCP retaliation amid documented transnational repression (e.g., Operation Fox Hunt and illegal CCP police stations in the U.S.).

But here's the game-changer: On July 18, 2025, President Trump signed the GENIUS Act (S. 1582) into law, revolutionizing U.S. policy on cryptocurrencies and stablecoins. This Act ends "regulation by prosecution" in the digital assets space, mandates clarity for issuers, and aligns with DOJ's April 7, 2025, memo from Deputy AG Todd Blanche halting such tactics. It emphasizes financial stability, innovation, and humanitarian concerns—directly impacting cases like this.

Under the GENIUS Act, shouldn't the government return these seized, intact trust funds immediately? The law's definitions, policies, and directives (including Trump's explicit remarks against "legal persecution of cryptocurrency") demand conformity, especially since no final judgment has been entered. It's almost as if the GENIUS Act hasn't reached the SDNY yet—our filing urges the court to recognize this seismic shift and reverse the seizure to prevent further dissipation of our clients' assets.

Proud to stand with these resilient individuals against overreach. Justice delayed is justice denied—let's hope the court acts swiftly.

https://acrobat.adobe.com/id/urn:aaid:sc:US:8fde60cb-4f86-48a6-b68b-c6e9c77cc0c4

07/25/2025

The Collapse of the Plea Bargain: When the Deal Isn’t a Deal

Plea agreements are supposed to bring clarity, closure, and efficiency to the justice system. But what happens when the deal is undre duress and was based on incomplete facts, withheld discovery, or broken promises?

In theory, 97% of federal criminal cases end in a plea because it's the “smarter choice.”

In reality, too many defendants sign under duress, deception, or desperation—without ever knowing what the government was holding back.

I’ve seen it firsthand:

Clients who pled without access to exculpatory evidence

Agreements that misstate the conduct. The more important the case to the government the more the envelope is pushed in the accepted statement of facts and allocution.

Systems that increasingly rely on silence, not truth, to seal the deal.

A plea is not justice if it’s built on half the story.

In one recent case, a defendant in a crypto matter accepted a deal—only to later discover that key evidence had been withheld, the sentencing calculations were misleading, and the alleged fraud had no identifiable victims.

Often discovery systems collection, processing and organization buckles under the strain of having to adapt to subject areas and technologies that evolve in lightning speed. Government representatives doing their best, but falling short.

🎥 The Trials of Joby Weeks

A powerful documentary that reveals the human cost when a plea isn’t a resolution—it’s a trap.

👉 https://www.brokentruth.tv/p/the-trials-of-joby-weeks

This film isn’t just about one man.

It’s a warning to the legal system in need of important reforms:

⚠️ When process replaces truth, agreements lack reliability and trustworthiness.

⚖️ And when justice shortcuts itself, we all pay the price.

Watch now | Joby Weeks has been targeted by the federal government for 6 years and denied due process and right to a speedy trial. Watch our exclusive interview with Joby now.